Sony PS3
Despite all the speculation, there's to be no price cut on the PS3 – yet – but Sony has dropped the PS2 to $99 in the US

Sony is cutting the price of its PlayStation 2 by $30 in the US from April 1st, bringing it down from $130 to $99. But despite all the web speculation, there's no price drop on the PS3. At least for now.

Sony said it would make a major announcement this week, which is what prompted rumours that the PS3's price (£299) might be realigned to bring it closer to that of the highly successful Nintendo Wii (£180) and Xbox 360 (from £129-£229).  

In fact, it's the company's last-generation console, first introduced in Japan nine years ago, that comes down in price. There will be a similar drop in Europe, with the price falling from 130 to 99 Euros, but in the UK the PS2 remains steadfastly at its current price of £94.99. Blame the exchange rate.

Jack Tretton, president of Sony Computer Entertainment America, says: "Demand for PS2 remains strong throughout the world, and the new $99 price point will will bring in new consumers who will discover how PlayStation platforms are an outstanding choice for their gaming and home entertainment needs."

More after the break

Industry experts are still speculating that a PS3 price cut could be announced at the E3 Expo in LA on June 2-4.